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Published on 29.11.2023

How much money can an electric car save you in Zurich?

Electric vehicles are on the rise, and especially so in the Swiss consumer market. Their range, charging time, and affordability are approaching the tipping-point of mass-adoption, and the canton of Zurich has some of the best incentives for electric vehicle owners. From insurance deals to tax exemptions and fuel savings, here’s everything you need to know to benefit from EV ownership in Zurich.

« Electric cars are in the sweet spot between early adopters and mass usage. Now is the best time to leverage expert consultation and start saving money. »
- Evgeniy Timoshenko, Partner at AG

Tax exemptions and government grants

First and foremost, pure electric vehicles are completely exempt from Zurich’s otherwise mandatory road traffic contributions. With conventional fossil fuel cars, this tax would on average amount to several hundred francs per year, depending on the vehicle’s capacity, age, and efficiency.

Note that Zurich is setting an almost entirely unique predicent by waving the road traffic tax; most other cantons will only grant a partial reduction. A precise overview of the benefits in each canton can be found on their respective sites.

Additionally, individual cities and smaller communities are beginning to offer contributions for the purchase of new electric vehicles. In Kloten, Dübendorf, and Gockhausen, those who buy a new EV will receive 1'000 CHF from the local government. The infrastructure aspect isn’t getting left behind either, as Zurich is offering financial aid to individuals and businesses in their support program for charging stations.

And finally, until the end of 2023, electric vehicles are exempt from the 4% tax when the car is being imported from abroad. This measure happened on a federal level and goes for the entire country, not just Zurich.

Insurance deals

When it comes to insuring electric vehicles, drivers can expect a variety of incentives from insurers who are keen to promote eco-friendly driving. Benefits typically include substantial premium discounts, sometimes up to 20%, and comprehensive coverage options tailored to the unique needs of EVs. For instance, policies might cover high-voltage battery damage, including those caused by operating errors, overvoltage, or deep discharge.

Additionally, insurance can extend to the charging infrastructure, protecting against theft, damage, and even specific issues such as the loss or unauthorized use of charging cards and apps. To fully benefit from these potential savings, you can contact us today. Our experts will gladly help you navigate the slew of options and get your car the best possible coverage.

Fuel and maintenance

The cost efficiency of electric vehicles becomes apparent when considering the price of fuel, which has become quite volatile since 2022. Electricity prices tend to be more stable and generally lower in comparison, translating into consistent and manageable recharging expenses.

In 2022, the cost for gasoline sat at 2 CHF/liter, while the typical EV driver would spend 0.23CHF/kWh. This means that at an average effeciency of 17km/liter and 6.4km/kWh, switching to an electric vehicle would save the driver up to 70% of their fuel cost for the same distance covered.

Additionally, electric vehicles boast reduced maintenance effort; there's no need for oil changes, no air filters to replace, and fewer moving parts, which means less wear and tear. This not only saves money (up to 50% in maintenance cost compared to gasoline cars!) but also time spent on vehicle servicing. Thus, the shift to electric can offer significant long-term benefits for vehicle owners.

Let’s compare: Gas vs. electric

So how much money can an electric vehicle ultimately save you in Zurich? Let’s consider two modern cars of similar proportions: Both are mid-sized middle-class 4 seaters, one being electric and one being gasoline-powered. Now let’s look at them over a three year period, not accounting for tire changes or major repairs:

What we see is a huge reduction of ongoing operating cost with the electric vehicle, saving you 5'617 CHF compared to a gasoline car – 6'617 CHF if you account for government grants in cities like Kloten and Dübendorf. Note that this does not consider the car’s initial purchase price, or the monthly payment should you chose to lease it, but the potential for savings is still massive.

Beyond Zurich

While Zurich may offer some of the best incentives for EV ownership, that doesn’t mean that the rest of Switzerland is lagging behind. By now, half of all newly registered personal vehicles are electric or hybrid cars, and the country sports over 9'000 charging stations with an ever-expanding network. 21 cantons already have deductions on the road tax for EV (exceptions are Aargau, Appenzell Innerr/-Ausserrhoden, Schwyz, Valis).

The country is going electric, and in accordance with this change, insurers and government entities continuously adjust their policies, both in regard to alternative fuel and conventional cars. That makes now the best time to go over your insurance policy again; our dedicated experts are here to get you the best possible coverage, no matter where or what drive.

Please contact us for a personal consultation:

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